Equitas Small Finance Bank Limited

NSEI:EQUITASBNK Stock Report

Market Cap: ₹71.2b

Equitas Small Finance Bank Valuation

Is EQUITASBNK undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of EQUITASBNK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EQUITASBNK (₹62.52) is trading above our estimate of fair value (₹39.08)

Significantly Below Fair Value: EQUITASBNK is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for EQUITASBNK?

Key metric: As EQUITASBNK is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for EQUITASBNK. This is calculated by dividing EQUITASBNK's market cap by their current earnings.
What is EQUITASBNK's PE Ratio?
PE Ratio15.9x
Earnings₹4.48b
Market Cap₹71.20b

Price to Earnings Ratio vs Peers

How does EQUITASBNK's PE Ratio compare to its peers?

The above table shows the PE ratio for EQUITASBNK vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average6.5x
KTKBANK Karnataka Bank
5.9x7.8%₹79.0b
TMB Tamilnad Mercantile Bank
6.6xn/a₹74.8b
J&KBANK Jammu and Kashmir Bank
5.3x1.6%₹107.1b
RBLBANK RBL Bank
8x25.9%₹95.7b
EQUITASBNK Equitas Small Finance Bank
15.9x46.3%₹71.2b

Price-To-Earnings vs Peers: EQUITASBNK is expensive based on its Price-To-Earnings Ratio (15.9x) compared to the peer average (6.5x).


Price to Earnings Ratio vs Industry

How does EQUITASBNK's PE Ratio compare vs other companies in the IN Banks Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
EQUITASBNK 15.9xIndustry Avg. 10.5xNo. of Companies7PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: EQUITASBNK is expensive based on its Price-To-Earnings Ratio (15.9x) compared to the Indian Banks industry average (10.3x).


Price to Earnings Ratio vs Fair Ratio

What is EQUITASBNK's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EQUITASBNK PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.9x
Fair PE Ratio15.2x

Price-To-Earnings vs Fair Ratio: EQUITASBNK is expensive based on its Price-To-Earnings Ratio (15.9x) compared to the estimated Fair Price-To-Earnings Ratio (15.2x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst EQUITASBNK forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹62.52
₹81.44
+30.3%
18.3%₹110.00₹60.00n/a16
Nov ’25₹70.98
₹98.00
+38.1%
12.2%₹120.00₹75.00n/a16
Oct ’25₹77.09
₹99.88
+29.6%
12.9%₹120.00₹75.00n/a16
Sep ’25₹81.31
₹101.13
+24.4%
12.9%₹120.00₹75.00n/a16
Aug ’25₹80.28
₹102.75
+28.0%
12.7%₹120.00₹75.00n/a16
Jul ’25₹96.31
₹122.06
+26.7%
7.7%₹137.00₹100.00n/a16
Jun ’25₹92.60
₹121.75
+31.5%
7.7%₹137.00₹100.00n/a16
May ’25₹97.05
₹122.20
+25.9%
7.8%₹137.00₹100.00n/a15
Apr ’25₹93.90
₹120.44
+28.3%
9.4%₹143.00₹100.00n/a16
Mar ’25₹101.50
₹120.44
+18.7%
9.4%₹143.00₹100.00n/a16
Feb ’25₹103.55
₹120.44
+16.3%
9.4%₹143.00₹100.00n/a16
Jan ’25₹107.60
₹114.13
+6.1%
7.4%₹130.00₹101.00n/a15
Dec ’24₹95.15
₹114.13
+20.0%
7.4%₹130.00₹101.00n/a15
Nov ’24₹94.60
₹114.13
+20.6%
7.4%₹130.00₹101.00₹70.9815
Oct ’24₹89.65
₹105.93
+18.2%
8.1%₹121.00₹90.00₹77.0915
Sep ’24₹88.80
₹106.21
+19.6%
8.3%₹121.00₹90.00₹81.3114
Aug ’24₹91.80
₹106.21
+15.7%
8.3%₹121.00₹90.00₹80.2814
Jul ’24₹90.10
₹98.07
+8.8%
9.4%₹115.00₹85.00₹96.3114
Jun ’24₹87.70
₹88.77
+1.2%
12.7%₹104.00₹57.00₹92.6013
May ’24₹68.95
₹76.43
+10.8%
13.4%₹95.00₹57.00₹97.0514
Apr ’24₹67.10
₹73.57
+9.6%
12.0%₹93.00₹57.00₹93.9014
Mar ’24₹72.70
₹73.08
+0.5%
12.6%₹93.00₹57.00₹101.5013
Feb ’24₹53.20
₹66.92
+25.8%
7.2%₹75.00₹57.00₹103.5512
Jan ’24₹58.35
₹66.50
+14.0%
7.7%₹75.00₹57.00₹107.6012
Dec ’23₹56.25
₹63.91
+13.6%
7.2%₹70.00₹55.00₹95.1511
Nov ’23₹51.05
₹63.30
+24.0%
11.2%₹80.00₹55.00₹94.6010

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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